FILIPINO property hunters are showing a growing interest in foreclosed properties, attracted by the lower prices, according to a top property listing site.
A report by Lamudi Philippines said that searches for foreclosed properties have been increasing in recent quarters, including a 75 percent surge in total searches for foreclosed properties in the first quarter of 2016, compared with a nine percent increase in the previous quarter.
Based on Lamudi’s search volume data for the first quarter of 2016, Quezon City led searches for foreclosed properties, accounting for 6 percent of the total searches.
As for foreclosed property listings, San Jose del Monte in Bulacan contained the highest number of listings for foreclosed properties with a total of 1,046 listings.
At present, Lamudi has almost 19,500 foreclosed property listings on its portal, including houses, condominiums, parking spaces, and residential lots.
Rounding out the list of the top 5 cities with the most foreclosed property listing are Dasmarinas in Cavite with 635 listings; San Mateo in Rizal with 487 listings; Bacoor in Cavite with 320 listings; and Santa Rosa in Laguna with 253 listings.
San Jose del Monte was also named the city which offered the most affordable foreclosed houses, with average prices at P336,000.
San Mateo, Rizal followed with average prices at P503,000, and Dasmarinas, Cavite at P686,000.
On the other hand, Quezon City offered the highest prices for foreclosed properties, as the average price for foreclosed houses was at P5.33 million.
Ramil Arquileta, chief executive office of My Saving Grace Realty and Development Corp., a firm that specializes in foreclosed properties, said foreclosed properties offer Filipino house hunters the most affordable option for a home.
He noted that opting for foreclosed properties offer property hunters several advantages.
“For one, the buyer can use a regular housing loan or mortgage financing to acquire the property,” Arquileta said.
Arquileta also noted that foreclosed property would generally be sold at a much lower price, as the purpose of the sale is to recover the outstanding mortgage balance owed by the previous owner to the foreclosing mortgage holder.
“Most importantly, as properties that became foreclosed are under the name of the foreclosing bank or mortgage holder, the titles will be clear, eliminating the risk of homebuyers getting scammed,” Arquileta said.